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Republicans divided over pre-election stimulus push as economy slows

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Republicans divided over pre-election stimulus push as economy slows.

Intra-party fractures over tariffs and trade policy are complicating GOP efforts to project economic confidence ahead of the November midterms.

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Summary

With roughly 10 weeks until the November midterms, Republican lawmakers are publicly feuding over whether to push emergency economic legislation. The Commerce Department’s August 26 revision confirmed the 1.5% GDP figure for Q2, offering no upward surprise to cling to. The Personal Consumption Expenditures price index, the Fed’s preferred gauge, held at 3.7% year-over-year in July. Monthly PCE ticked up 0.2% in July, slightly hotter than the 0.1% economists had penciled in.

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